Shares of Cineworld Group PLC (LON: CINE) broke below horizontal support near 35p to trade over 12% in the red on the week. The price is now on its way to close lower for the third week in a row as the cinema industry takes a battering amid the pandemic and social distancing measures.
The latest hit to Cineworld comes from Disney after the US-based giant decided that the live-action version of the much-anticipated “Mulan” drama will skip most of the world's movie theaters. Instead, the drama will go directly to the Disney+ streaming service in the U.SCanada, Australia, and some countries in Western Europe.
Interested viewers will be required to pay $29.99 to watch Mulan, with costs to produce a movie that has been reported at $200 million.
Earlier this week, Cineworld share price took a severe hit on reports that AMC Entertainment and Universal Pictures reached an agreement to cut films’ run times in theatres.
Cineworld share price is trading below 34p again, the lowest levels since March.